Ex-China hot dip galvanized (HDG) offer prices have moved up sharply over the past week. Offers from mills are at $1,020-1,030/mt FOB for late May shipment this week, edging up by $70/mt compared to February 24 on average.
“Sharp increases in HRC futures prices have exerted a positive impact on market players’ sentiments and bolstered ex-China HDG prices,” an international trader said.
During the given week, HDG prices in the Chinese domestic market have risen amid the continuous increasing trend seen in HRC futures prices. Bullish sentiments have prevailed among market players. However, demand from downstream users has not improved to the level expected by market players.
Average 1.0 mm SGCC hot dip galvanized spot prices in China have edged up by RMB 34/mt ($5.4/mt) compared to February 24 to RMB 5,867/mt ($931.3/mt) ex-warehouse, according to SteelOrbis’ information.
As of March 3, HRC futures prices at the Shanghai Future Exchange are standing at RMB 5,249/mt (833/mt), rising by RMB 445/mt ($70.6/mt) or 9.3 percent since February 24.
$1 = RMB 6.3016
